Telstra, Australia's largest telephone company, said it would buy back A$1 billion ($930 million) in shares and also hiked its dividend as full-year profits came in above forecasts.
Net profit jump 14 percent to its highest level in more than five years led by growth in its mobile services division. Revenue also expanded 3.5 percent after being mostly flat for the past five years, hurt by a rise in mobile phone use that drove households to dispense with land-lines altogether.
Telstra said it expected revenue and EBITDA for the current financial year to be flat because it would not include earnings from Hong Kong mobile business CSL. Telstra sold its 76.4 percent stake in CSL in December.